Nordea Bank Abp

Nordea launches Long Term Incentive Plan for 2023-2025

Nordea Bank Abp / Key word(s): Miscellaneous Nordea Bank Abp: Nordea launches Long Term Incentive Plan for 2023-2025 01.02.2023 / 19:15 CET/CEST Nordea launches Long Term Incentive Plan for 2023-2025

Nordea Bank Abp
Stock exchange release - Other information disclosed according to the rules of the Exchange
1 February 2023 at 19.00 EET

Nordea Bank Abp's (Nordea) Board of Directors has today decided to continue the share-based Long Term Incentive Plan (LTIP) launched in 2020, 2021 and 2022 for a new performance period covering the financial years 2023-2025. It includes the CEO and nine other members of the Group Leadership Team (GLT) and approximately 50 senior leaders.

Nordea wants to ensure that management incentives are aligned with the shareholders' interests. In support of this, the Board has decided to continue the share-based LTIP that was approved and implemented in 2020, 2021 and 2022. The LTIP for 2023-2025 continues to cover members of the GLT and approximately 50 senior leaders and key employees whose efforts have a direct impact on Nordea's results, profitability, customer vision and long-term growth.

As part of the LTIP, the members of the GLT and senior leaders will be allocated conditional shares in 2023. These conditional shares have a three-year performance period covering the financial years 2023-2025, with subsequent deferral and retention periods according to applicable regulations.

The total maximum number of shares that can be granted to participants as part of the LTIP 2023-2025 is 769,622 Nordea shares for the CEO and members of the GLT, and a maximum of 1,000,000 Nordea shares for selected senior leaders (approximately 50 participants). In 2026, based on Nordea's performance, the maximum number of shares or a proportion of the shares will be granted to the participants. Once shares are granted, if any, the first portion of the shares is delivered in 2026, and the rest of the shares are deferred and delivered annually in five equal portions during 2027-2031. Each share delivery is subject to a 12-month retention period, during which the delivered shares cannot be sold or otherwise disposed of.